Viewing blog posts written by Gino DiCaro


Manufacturers can make a difference in the Capitol

Posted by Gino DiCaro, VP, Communications on July 3, 2017

CMTA never stops fighting for manufacturers in California's Legislature and regulatory agencies. One of the biggest challenges is keeping advocacy at the forefront of manufacturers’ thoughts and actions throughout the year.  We need manufacturers to engage on the most pressing issues in the Capitol so policymakers hear from the companies that invest in California and high wage jobs. We encourage active participation in CMTA's Champion advocacy engagement campaigns that range from contacting a legislative office or simply tweeting your company's concerns over an issue.

This week you should show your support for cost-effective climate change policy and a well-designed cap-and-trade system.  There will be an important vote soon on cap-and-trade and we need a chorus of manufacturers driving home the necessity of cost effectiveness in reaching California's new and demanding 2030 climate change goals. 

Click below to watch our 1-minute video on cap and trade and engage on the issue.





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You can help shape a new NAFTA

Posted by Dorothy Rothrock, President on June 13, 2017

Congress was notified on May 18 that the North American Free Trade Agreement would be renegotiated.  That kicked off a 90-day timeline for comments, hearings and advocacy on the key issues in the decades old treaty.  US manufacturers and their workers stand to gain or lose big in this process.

Our colleagues at the National Association of Manufacturers (NAM) are in full gear to make the best case possible for manufacturers.  Your participation is crucial, and it’s easy to help.  The staff at NAM want to share stories of how NAFTA has been a benefit to your company – how you have grown in the US through sales or supplier relationships with Mexico or Canada. They also want to hear if there are improvements that need to be made in the agreement to address any problems.

The clock is ticking, so don’t delay.  Send information to me at drothrock@cmta.net.





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California manufacturers need NAFTA

Posted by Dorothy Rothrock, President on May 30, 2017

The Trump administration recently opened a 90-day consultation period with Congress that will set the stage for a formal renegotiation of the North American Free Trade Agreement (NAFTA), the rules for trade between the US, Canada and Mexico.

Announced in a letter from the United States Trade Representative Robert Lighthizer, the decades old NAFTA agreement was described as “outdated” and in need of modernization to incorporate more recent standards in US trade agreements. His letter also says the administration is motivated out of a desire to grow the U.S. economy.

It is hard to overstate the importance of NAFTA and other trade agreements to California's economy. Thousands of logistics and transportation jobs are supported by California’s role as the “state-of-destination” for more than 18 percent of all US merchandise imports (March, 2017). Our top export category is “Computer and Electronics Products”, a reflection of California’s high-tech manufacturing economy. And Mexico is our top export market – as their economy grows, the increasing demand there will support many new jobs here at home.  It’s a win-win. 

CMTA members include small and large manufacturers who greatly benefit from California’s access to robust supply-chains to connect with international markets for intermediate goods and final sales. They have relied on robust trade relationships under NAFTA to remain competitive in global markets and support high-wage manufacturing jobs in the state. Our proximity to Mexico makes just-in-time advanced manufacturing processes possible for the many California companies with trading partners located there.

We look forward to modernization of NAFTA to reflect advances in technology that have transformed our economy. We urge Congress to preserve and enhance those elements of the agreement that will improve the free flow of goods and keep California companies competitive in global markets.

In July CMTA will provide an update on the topics to be discussed in the negotiations. Questions about NAFTA negotiations can be directed to Dorothy Rothrock at drothrock@cmta.net.





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Cal Tax says: "Let's encourage manufacturing in CA"

Posted by Gino DiCaro, VP, Communications on April 30, 2017

Last week, as the Legislature heard two bills to extend and improve a California sales tax exemption on manufacturing equipment purchases, the California Taxpayers Association (Cal Tax) president wrote a great piece for the OC Register on the importance of encouraging manufacturing investment in California. Most states either don't tax the purchases in the first place or provide some level of exemption. If the state's exemption was allowed to sunset, it would create a competitive disadvantage in California's ability to attract investment for the high wage sector.  Cal Tax analyzed the state's current temporary exemption and found that every $1 dollar of incentive claimed has created $23 in return investment.  Cal Tax's piece below. Share it around where you can.

Let's encourage manufacturing in California 

by Teresa Casazza -- President, Cal Tax
(ran in OC Register April 27, 2017)

While discussing California’s loss of manufacturing jobs, a colleague once quipped that at the rate we’re going, the only factory jobs left in this state will be at The Cheesecake Factory.

We haven’t gotten to that point yet, but it is true that the Golden State has been losing manufacturing jobs to other states and countries, in large part because of the high cost of doing business in California.

Even native California companies are moving operations to other states. The latest is Aerojet Rocketdyne, the pioneering aerospace company that is eliminating 1,100 jobs in Sacramento and creating 800 jobs in Alabama. You don’t have to be one of Aerojet’s rocket scientists to know that California needs to improve its jobs climate.

In 2013, the Legislature and governor approved an economic development plan to attract and retain high-paying manufacturing and research-and-development jobs. This legislation has been good for our economy, and has the potential to be great with a few adjustments — tweaks included in twin bills, Assembly Bill 600 and Senate Bill 600, by Assemblyman Jim Cooper and Sen. Cathleen Galgiani, respectively... READ MORE ON OC REGISTER





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CA work comp rates lower in 2016 but more expensive than the national average

Posted by Gino DiCaro, VP, Communications on Jan. 6, 2017

Unfortunately for California manufacturers, our state continues to be the most expensive state for workers’ compensation insurance rates at an average $3.24 per $100 in payroll.  While rates are trending downward according to the Oregon Workers' Compensation Premium Rate Ranking Summary, California's decline is not occurring quick enough or deep enough to level the playing field, despite the reforms in 2012.

Here's a look at the prmeimus by state with California's trend vs. the national average.

 

 

Link to Oregon Workers' Compensation Premium Rate Ranking Summary

 

 





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